Indonesia CPI Eases as Subsidies Take Edge Off Commodities Rally
- February inflation lower than estimates, slows month-on-month
- Plan to raise gasoline prices could push CPI past BI target
This article is for subscribers only.
Indonesia’s inflation came in weaker than expected in February as government subsidies helped cushion the blow of surging commodity prices on consumers.
Consumer prices rose 2.06% year-on-year, below the median estimate of 2.2% in a Bloomberg survey of economists. Prices also shrank by 0.02% on a monthly basis as price caps on cooking oil and a surplus of poultry and eggs production tamed food inflation, according to the central statistics agency on Tuesday.